EPA v. Loncin (USA)

Case summary

The settlement agreement in this matter resolves an administrative enforcement action for causing the importation of 7,115 uncertified recreational vehicles in violation of the Clean Air Act (CAA) and related recordkeeping violations. Chongqing Longting Power Equipment Co., Ltd., Longting USA, LLC, Loncin (USA) Inc. (Loncin), and their various affiliates (collectively, the Respondents) manufacture recreational vehicles and engines. Based in California, Longting USA, LLC and Loncin hold the Certificates of Conformity (COCs) necessary to import recreational vehicles into the U.S. In 2008, Chongqing Longting Power Equipment Co., Ltd. alone ranked as the ninth largest Chinese manufacturer of recreational vehicles imported into the U.S. (the total value of goods imported was roughly $3 million). After discovering that MotorScience, Inc.—a certification services consulting firm— submitted false and incomplete information to obtain COCs for some of its clients, including Loncin, EPA voided the COCs held by the companies. These certificates permitted the importation and sale of a total of more than 24,000 non-compliant recreational vehicles in the U.S., of which more than 7,115 were imported under certificates held by Loncin and its affiliates. Engines that are not certified may be operating without proper emissions controls, which can emit excess carbon monoxide and nitrogen oxides and cause respiratory illnesses, aggravate asthma and contribute to the formation of ground level ozone, or smog. As part of the settlement with EPA, the respondents will pay a $680,000 civil penalty. In addition, to mitigate excess emissions from these uncertified vehicles, the Respondents are required to complete an emissions mitigation project. This project requires a donation of $10,000 to a state, local, or tribal agency or non-profit organization that is implementing a wood-burning appliance change-out or retrofit project in the U.S. The entity receiving the donation must provide incentives (e.g., rebates for EPA-certified wood stoves) to homeowners to replace or upgrade inefficient, higher polluting wood-burning appliances. Lastly, the number of replacements or retrofits must be sufficient to reduce the projected emission of at least 26 tons of hydrocarbons plus oxides of nitrogen (HC+NOx) and ten tons of carbon monoxide (CO). The Respondents must implement a Vehicle and Engine Compliance Plan at least 90 days before the U.S.-directed production of any recreational vehicle or motorcycle. For more information, see EPA's webpage concerning this settlement at http://www.epa.gov/compliance/resources/cases/civil/caa/loncin.html

Defendants (3)

• Chongqing Power Equipment Co., Ltd.Named in complaintNamed in settlement
• Loncin (USA), Inc. (SB)Named in complaintNamed in settlement
• Longting USA LLC (SB)Named in complaintNamed in settlement

Facilities (1)

• LONCIN (USA)

  636 GREAT BEND DR, DIAMOND BAR, CA, 91765

  Registry ID: 110045468551

Statutes cited

• CAA 203 — Prohibited Acts - Motor Vehicle & Motor Vehicle Engines
• CAA 213 — Non-road Engines & Vehicles

Enforcement conclusions (1)

• Loncin (USA)entered 2011-12-23

  Primary law: CAA

  Federal penalty: $680,000

Timeline (3 milestones)

• 2011-12-23Final Order Issued
• 2011-12-23Complaint Filed/Proposed Order
• 2012-02-16Enforcement Action Data Entered